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Feature | May 2017

The country cannot do without conventional fuels

Himanshu Desai, Managing Director, TPP Boilers Pvt Ltd.

What has changed for the BTG market?
Following the Paris Agreement for environment, GoI has stopped permitting new boilers of smaller size less than 500 MW for public utility and is reluctant about giving permissions to refurbish old boilers of less than 500 MW capacity. This has affected the BTG market adversely.

What are the major challenges that are dampening the sector?
The major challenge to the BTG market is GoI's focus on non-conventional energy which is unreliable. The country cannot do without conventional fossil fuel power plants or nuclear plants if we need a dependable electric supply.

Some of the major issues like fuel connectivity have been addressed to a greater extent in the last one year. Elaborate on the effect of this?
It is true GoI has addressed major issues like fuel connectivity, distribution network and the financial health of distribution companies. However the power generation industry feels there is excess power supply since state discoms are not procuring enough power and are allowing load shedding of over eight hours for the fear of power theft.

Is India expanding into the export market? How does the price compare?
Indian companies are expanding in the export market, however the complicated taxes and poor infrastructure of the country do not make Indian companies competitive. Hopefully GST will bring competitiveness to Indian companies in the BTG market.

How do you see the BTG market progressingy?
The present scenario is not very encouraging as GoI¦s focus is on solar and other non-conventional energy sources.

Talking particularly about your company, who are your major clients? Could you name those in the Rs 18 crore order book?
Our major clients are the large power plant companies like NTPC, Neyveli Lignite, Adani, Reliance, Lanco, GMR, Semcorp, etc.

Does your major market consist of India or is it export oriented?
Our major market is India, with exports consisting of 24 per cent share.

You have a manufacturing facility in Vadodara, Gujarat. Are there any plans for expansion of your manufacturing activity to increase revenue and turnover?
Our manufacturing facility is under expansion and we are investing in new technology to bring in more automation.

Could you tell us about some of the technological upgradation and innovation you have undertaken?
We have invested heavily in research of welding automation to reduce dependability on human skill. By next year none of our shop floors and processes will be dependant on human skills.

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